ROI Calculator
What is a ROI Calculator?
Calculate Return on Investment (ROI %), net profit, and annualized Compound Annual Growth Rate (CAGR %) for stocks, real estate, crypto, or business projects.
Why Use This Tool?
- Investment Performance Tracking: Evaluate total returns and net profits from stock or real estate investments.
- Annualized Return (CAGR): Compare investments held over different time horizons (e.g., 3 years vs 7 years) using annualized CAGR.
- Business Project Feasibility: Measure financial returns on marketing campaigns or capital purchases.
How to Use
- Enter Initial Amount Invested (Cost of Investment).
- Enter Final Amount Returned (Value at Sale) and Investment Length in Years.
- View Net Profit, Total ROI (%), and Annualized CAGR (%).
Real Working Example
Input:
Initial Investment: $10,000 | Final Value: $18,000 | Holding Period: 5 Years
Output Result:
Net Profit: +$8,000 | Total Return (ROI): +80.0% | Annualized CAGR: +12.47% per year
Important Technical Details & Formulas
- ROI Formula: `ROI % = ((Final Value - Initial Cost) / Initial Cost) * 100`.
- CAGR Formula: `CAGR % = [(Final Value / Initial Cost)^(1 / Years)] - 1`.
- 100% Local Privacy: Investment numbers remain 100% private in browser memory.
Related Mathematics & Financial Tools
- Compound Interest Calculator: Calculate compound interest growth.
- Percentage Calculator: Calculate percentage changes.
- Loan EMI Calculator: Calculate loan EMI repayments.
Frequently Asked Questions
What is the formula for calculating ROI?
ROI (%) = ((Final Value - Initial Cost) / Initial Cost) * 100.
What is CAGR and why is it useful?
CAGR (Compound Annual Growth Rate) measures the constant annual growth rate of an investment over multiple years.
What is a good ROI for investments?
Average stock market index returns historically range between 7% to 10% annualized ROI.
Is it free?
Yes, 100% free.
Are my financial figures uploaded to a server?
No, all calculations execute 100% locally inside your web browser.